The market size of chemicals and petrochemicals sectors in India is around 165 billion dollars and this is expected to grow to US$ 300 billion by 2025, Sadananda Gowda, Minister for Chemicals and Fertilizers, Govt of India said while addressing the virtual Latin America & Caribbean session on ‘Reimagining Distances’, during  LEADS 2020, organised by FICCI and added that this presents a huge opportunity in chemical sector India.

Gowda said that India will need 5 crackers by 2025 and additional 14 by 2040 to meet the growing demand. These crackers  alone will require cumulative investment of US$65 bn. To attract foreign participation, he said, Government of India is revisiting policies for chemical and petrochemical sector. "We are thinking to extend financial incentive based on sales similar to what is being extended in our pharmaceutical sector. We are also tweaking our policies to strengthen our chemical industrial cluster which we call as PCPIRs and plastic parks. Together, these supportive Government policies will offer one of the best environments to do business in India as far as chemicals & petrochemical sector is concerned," Gowda said.

The Minister added that fertiliser sector is also an attractive sector in India.  there is huge demand for fertilisers by our farmers every year. However, domestic production is itself is not enough to meet requirements of fertilisers. We are large importers of urea, & P & K fertilisers. For example, in 2018-19, India imported 7.5 million ton of urea, 6.6 million ton of DAP, 3 million ton of MOP and 0.5 miliion ton of NPK fertilizer.

“I am told that Latin American and Caribbean countries are also net importers of chemical fertilisers. Instead of competing in market as buyers, we should be cooperating for making supply chains more efficient so that adequate quantity can be sourced at competitive prices." he added

Gowda stressed that there is a need for collaboration for development of alternative fertilisers for example nano fertilisers, which can reduce our requirement/ usage of fertilisers, and hence dependence on imports. I would welcome any feedback on my proposal for joint R & D collaboration for development of alternate fertilisers.

"We would welcome any proposal in these sectors and extend all possible handholding in India wherever it will be required, he assured," he added.

Gowda also said India is one of the largest manufacturers and exporters of generic medicines across the world. During  initial phase, he said, HCQ and Azithromycin was identified as one of medicines under treatment protocol for covid-19 in emergency cases. Referring to India supplying these medicines to more than 120 countries across the world; he underlined that india thereby earned the reputation of reliable supplier of medicines.

He informed hat India is the only country with largest number of US-FDA compliant pharma plants (more than 262 including APIs) outside of USA with exports $ 20 billion worth of pharma products to various countries including high standards complying countries like US and Europe.

He  that  Indian pharma sector can grow to US$ 65 billion industry by 2024. "We have recently launched schemes for development of seven mega parks—three bulk drug parks and four medical devices parks across country. New manufacturers will be eligible for Production Linked Incentive (PLI) Scheme under which they will be eligible for financial incentives on basis of their sales for first 5-6 years," the Minister informed.

Gowda further emphasised that this is a very- very good time to invest, and set up manufacturing base in India in pharma sector. "One can enter India market through Joint Ventures also. The advantage is that you can get access to big markets like domestic Indian market, US, Japan, EU and South East Asia through India as far as pharma sector is concerned. Anybody can contact my office if they are interested in Indian pharma sector, we will provide all possible facilitation and hand holding," he stressed.